If you are a millennial, then you may have a hard time looking on the bright side. Studies have shown that even though millennials are more educated than their parents, they make less money. According to the Young Invincibles, the average Millennial earns $40,581 per year. Millennials who are between the ages of 16 and 34 earn an average of $684 per week. This is equivalent to $35,592 per year.
Millennials also have more expenses than their parents. BMG Money loans to this generation for many common reasons – ranging from medical expenses to car problems. Millennials actually spend $1,000 more on healthcare and 1,500 more on Social Security and pensions per year. They also spend $700 more on education per year. Additionally, they spend $2,000 more per year on housing.
The good news is that all is not lost for Millennials. This generation has a different mindset, which can work to their advantage. Millennials are more socially-conscious. They are looking for a job that allows them to have a good work-life balance. They would not mind taking a pay cut if they have more time to spend at home with their loved ones.
Millennials realize that money is not everything. As long as they can pay their bills and enjoy life, they are content.
How to Unlock Your Earning Potential
Even though Millennials have a different mindset, they still want to unlock their true earning potential. They want to live without worrying about how they are going to make ends meet. There are several ways that you can maximize your earning potential.
Understand Your Cost of Living
You will need to take a look at your cost of living. Cost of living is affected by a number of expenses including location. Calculating the cost of things like rent, food, utilities and loans. This will give you an idea of how much money you need to make per month.
It is expensive to live in places like Washington D.C. and San Francisco. However, you can make more money in those places. A web designer in San Francisco makes over $71,000 whereas a web designer in Austin makes an average of $48,000 per year.
Determine What You are Worth
Experience and job title do not determine how much you are worth. Minimum wage, geography and minimum wage will impact income. Millennials have to highlight what makes them unique and worth what they are paid.
Demonstrate Your Individual Worth
One of the keys to surviving as a freelancer is to demonstrate your individual worth. In order to be on top, you must be pleasant to work with and have competitive prices.
What Sets You Apart?
Even if you are not a freelancer, you still need to think about what sets you apart from the competition. What experiences and skills do you have? How can you solve problems? Those are things that you will need to think about.
Millennials are focused on two main things: They want to make sure that they are making enough money to pay their living expenses. They also want to enjoy the work that they are doing.